AIG and JP Morgan buys 25% stake in Narayana Hrudayalaya for Rs. 400 cr

narayana_hrudayalayaGlobal financial institutions American International Group (AIG) and J P Morgan have taken a 25% stake in the Bangalore-based hospital group Narayana Hrudayalaya Pvt. Ltd (NHPL) for Rs. 400 crore.

NHPL, which was recently voted the top cardiac hospital in the country, has two health cities under construction in Bangalore and Kolkata. The third hospital will come up soon at Jaipur on a 40-acre plot provided by the government.

Narayana Hrudayalaya, valuing at Rs. 1600 crore, specializes in cardiology and pediatric care and is among the world's largest in the segment. The hospital also offers treatments in the area of pediatrics, neurology, gastroenterology and with the help of ISRO, it has played a pioneering role in telemedicine.

This investment from AIG and J P Morgan comes nearly an year after Azim Premji, chairman of Wipro Ltd came close to investing Rs 100 crore for a 26 % stake in the firm, on a personal basis.

Announcing the investment, Dr. Devi Shetty, founder, Narayana Hrudayalaya said, the funds, Rs. 200 crore each from AIG and JPMorgan, would be used by NHPL to build a nationwide chain of so-called health cities in the state capitals.

The hospital unveils plans to create 5,000-bed hospitals in most state capitals, reaching 20,000 beds within five years.